{"id":25085,"date":"2018-07-23T13:02:58","date_gmt":"2018-07-23T12:02:58","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/issues\/economy\/25085-head-of-iran-auto-industry-workers-trade-union-national-car-production-is-devastated"},"modified":"2023-01-19T04:09:31","modified_gmt":"2023-01-19T03:09:31","slug":"head-of-iran-auto-industry-workers-trade-union-national-car-production-is-devastated","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/economy\/head-of-iran-auto-industry-workers-trade-union-national-car-production-is-devastated\/","title":{"rendered":"Head of Iran Auto Industry Workers Trade Union: National Car Production Is Devastated"},"content":{"rendered":"<p><img decoding=\"async\" title=\"Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated\" class=\" size-full wp-image-51794\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/sites\/2\/2018\/07\/Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated.jpg\" alt=\"Head of Iran Auto Industry Workers Trade Union: National Car Production Is Devastated\" width=\"800\" height=\"557\" srcset=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2018\/07\/Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated.jpg 800w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2018\/07\/Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated-300x209.jpg 300w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2018\/07\/Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated-768x535.jpg 768w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2018\/07\/Head-of-Iran-Auto-Industry-Workers-Trade-Union-National-Car-Production-Is-Devastated-696x485.jpg 696w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><\/p>\n<p>By Mahmoud Hakamian<\/p>\n<p><strong>\u201cCar importers\u2019 alliance with mafia bands\/ intruders in parliament and the government involved with their own business\u201d<\/strong><\/p>\n<p>To support and create jobs in old and somewhat fragile industries, it\u2019s a common practice everywhere in the world to improve economic structures through such measures like imposing high tariffs on imports, so that crushing economic pressures are removed from workers and shifted to importers instead. In Iran under the rule of mullahs, however, there\u2019s a totally different story.<\/p>\n<p>\u201cNo matter how much the workers keep saying out loud that they have the capacity to produce fully domestic cars without needing to import any parts, the officials pretend they don\u2019t see or hear anything, as they look at Iran as their working place while spending their lives abroad. That\u2019s why they\u2019re scattering mortal soil over the country\u2019s production,\u201d says head of Iran Auto Industry Workers Trade Union \u2018Mojtaba Hajizadeh\u2019, according to state-run ILNA news agency on July 19, 2018.<\/p>\n<p>The Central Bank recently released a list of importers that have received subsidized foreign currency from the government. According to the list, regime\u2019s Health Ministry has imported the most foreign-manufactured vehicles while receiving 18 million 534 thousand Euros.<\/p>\n<p>Although Health Ministry officials claim that they\u2019ve spent all the money on importing ambulances, and not cars, to renovate their fleet, but the claim is questionable due to a number of reasons, with the most important one being the fact that the ambulances deployed in medical centers run on diesel fuel and their engine sizes are higher than 2000cc, which is contrary to the Ministry\u2019s import description, claiming that the imported vehicles\u2019 engine displacement is between 1501 to 2000cc and that they run on gas.<\/p>\n<p>The car importers have in total received more than 100 million Euros at subsidized rate from the government. But that\u2019s not all they\u2019ve received, as in addition to taking advantage of such state facilities, the importers also enjoy a parliamentary support.<\/p>\n<p>The MPs reduced car import tariffs to 20 percent in May, meaning the importers can now benefit from a double-sided support.<\/p>\n<p>According to ILNA, it seems that the officials responsible for making decisions at highest levels have no concerns about employment and increasing workers\u2019 job security. The only thing they care about is how to secure the highest profit for the importers and how to protect them from any possible losses, as the officials\u2019 policies in no way shows any sign of caring about national interests or public benefits.<\/p>\n<p>\u201cThe government and bodies responsible for allocating subsidized foreign currency provide big importers, who are hand in hand with mafia groups, with the subsidized 4200-toman US Dollar for import, regardless of the negative effects the policy has for auto manufacturing, as the country\u2019s mother industry, and auto workers alike,\u201d says Mojtaba Hajizadeh.<\/p>\n<p>Hajizadeh pointed out that the importing companies have imported Chinese, Korean, Japanese and French cars in excess of the country\u2019s market demand while using the subsidized 4200-toman US Dollar they\u2019ve received from the government, saying \u201cthe importers have already imported enough cars to meet the country\u2019s auto market demand this year, so that there\u2019s no need for further imports. Nonetheless, more and more cars are still being imported.\u201d<\/p>\n<p>\u201cDespite workers loudly complaining about lack of job security, insufficient salaries and having to endure heavy economic pressures, the country\u2019s customs offices keep releasing more and more import cars. How could we ever produce a national car under such conditions? The country\u2019s car manufacturers are able to produce high quality cars that could at least compete with the neighboring countries\u2019 products, only if the state-linked executives who are running the country\u2019s rentiering and mafia systems allow,\u201d Hajizadeh said.<\/p>\n<p>Head of Auto Workers Trade Union then indicated that auto industry is among the mother industries that could directly create jobs for hundreds of thousands, saying \u201cbut what exactly have they done so the auto manufacturers are speaking of workforce adjustment? What have they done that even the country\u2019s auto manufacturers turn to importing cars?\u201d<\/p>\n<p>\u201cThe state-linked circles involved in importing auto parts from China, Korea and other countries are doing their best to push the idea that Iran\u2019s industry is not able to produce high quality auto parts, so it\u2019s necessary to import such products in this difficult situation,\u201d says Hajizadeh, adding \u201cTogether with their partners who provide them with subsidized foreign currencies, such importers have blocked every pathway through which the country\u2019s production could breathe, in such a way that no manufacturer is willing to produce auto parts anymore.\u201d<\/p>\n<p>\u201cThey deceive people into believing that they constantly need such importers to provide them with safe cars that could save their lives. Highlighting Iranian workers\u2019 shortcomings is the highest achievement of such rent-seekers. To earn their livelihood, they can think of no other option but making easy money. To be honest, they provide their families with luxury foods at the expense of workers losing their jobs.\u201d<\/p>\n<p>Head of Auto Industry Workers Trade Union then referred to a number of apparently car importing companies that have received subsidized foreign currency to import such irrelevant products like tea makers or cereals, saying \u201cwhen you take a look at such companies\u2019 articles of association, you\u2019ll notice that it says \u2018unrestrained import and export\u2019, where does that come from?<\/p>\n<p>\u201cWhy such companies are given a free hand to destroy the country\u2019s production and force workers out of their jobs? Subtly and insidiously, the process started a few years ago in the shape of a soft-war, pretending to support domestic products while actually being in contrast to resistance economy objectives.<\/p>\n<p>\u201cSometime they bam importing cars that their engine size is greater than 2500cc, saying such cars are not proper for a country that aims to reduce fuel consumption. But when you look at the cars on the streets, then you\u2019ll find out what\u2019s really going on! The streets are filled with countless number of cars that their engine capacities are higher than 2500cc.<\/p>\n<p>\u201cThis means that the import restriction is only on paper, despite some claiming that they\u2019ve absolutely stopped such cars from being imported.<\/p>\n<p>\u201cPeople are aware of such violations and law evasion moves thanks to social networks, the information on which cannot be totally ruled out as untrue. There are definitely evil intentions behind such high-volume destructive import, and we won\u2019t have the chance to wake up if we keep on sleeping.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Mahmoud Hakamian &ldquo;Car importers&rsquo; alliance with mafia bands\/ intruders in parliament and the government involved with their own business&rdquo; To support and create jobs in old and somewhat fragile [&#8230;]<\/p>\n","protected":false},"author":10,"featured_media":51794,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[178],"class_list":{"0":"post-25085","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-save"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Head of Iran Auto Industry Workers Trade Union: 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